For each successful application, an Ontario SME may receive up to CAD $300,000 from OCE to fund the Ontario portion of the project. The collaborating SME from Israel will receive a similar level of funding separately from the Israel Innovation Authority (IIA). SMEs are required to provide at least 1:1 matching funds for the funding awarded. Ontario applicants are strongly encouraged to collaborate with researchers from publicly-funded post-secondary institutions in Ontario.

OCE anticipates that up to three projects will be funded through the 2018 Call for Proposals.

B. Program Objectives

To create partnerships through bilateral collaboration leading to the development and commercialization of innovative industry-oriented technologies, that will strengthen both Ontario's and Israel’s technological expertise while enhancing competitiveness in the global market.

To enhance industry cooperation, improve competitiveness and further technological and business collaboration between Ontario and Israel.

Priority Areas

C. How Funding Works

Project Duration

Project terms should not exceed two years and are non-renewable.

Grant Amount

Projects of any size up to the maximum can be proposed for funding.

Ontario applicants will be eligible to receive up to 50 per cent of eligible Ontario project expenditures, to a maximum of CAD $300,000 per project from OCE. The corresponding Israeli applicant will receive a similar level of funding from IIA to fund the Israeli portion of the project.

Matching Contributions

All OCE funding must be matched at least 1:1 in cash by the Ontario applicant.

IIA will typically provide up to 50 per cent of the Israeli project cost.

Flow of Funds

For successful projects, funds will only be released upon execution of both OCE and IIA Funding Agreements.

Twenty-five per cent of funds will be released by OCE to the Ontario SME upon activation of the project.The remaining 75 per cent of the OCE funds will be released to the Ontario SME, based on a claims and reimbursement model for eligible expenses*. Claims must be submitted biannually along with progress reports.More information can be found in Section G. Project Reporting.

Funds from IIA will be released to the Israeli SME according to the IIA funding procedures.

D. Eligibility

Projects MUST develop innovative technologies, and may include technology and knowledge applications, product customization, near commercialization or new market creation activities.

Applications should demonstrate how the projects will provide economic benefits in both Ontario and Israeli jurisdictions.

Project activities should take place primarily in Ontario and Israel, with OCE and IIA funds supporting activities in Ontario and Israel, respectively.

Project participants are required to demonstrate that they themselves have, or have ready access to, the infrastructure and resources required to complete the joint development of the project.

Eligible Applicants

Funding is open, on a competitive basis, to:

Ontario SMEs – defined as a company with less than 500 full time employee equivalents (FTE), conducting R&D and/or manufacturing in Ontario, with at least half of their FTE working and living in Ontario.

Each application MUST include at least one SME from Ontario and one SME from Israel. Ontario applicants are strongly encouraged to collaborate with researchers from publicly-funded post-secondary institutions in Ontario.

E. How to Apply

Stage 1: Expression of Interest (EOI)

Both Ontario and Israeli SMEs MUST be identified, as an Ontario-Israel partnership is required for Expression of Interest (EOI) submission.

If the Ontario-Israeli partnership is not already established, OCE and IIA may aid in identifying potential partner companies. Ontario SMEs can download a Partner Search Form and submit to Bradford Brinton. Israeli SMEs may contact Les Abelson for the Partner Search Form. Please allow sufficient time in advance of the EOI deadline to identify potential partners; also note that OCE and IIA cannot guarantee their ability to identify or secure suitable partners.

Eligible applicants MUST engage with an OCE Business Development Manager (BD) to submit an Expression of Interest (EOI), describing how their company, along with an Israeli partner, plan to develop technology addressing one of the two Priority Areas.

The Ontario and Israeli partnered SMEs should jointly prepare and submit the Expression of Interest.

EOIs must be submitted before 2pm on November 1, 2018.

Selected EOIs, which are eligible and aligned with the Program Objectives, will be invited to proceed to the Full Application stage.

Stage 2: Full Application

Applicants with successful EOIs will be invited to submit Full Applications.

Ontario SMEs will submit the Full Application to OCE.Israeli SMEs will submit the Full Application to IIA.

For Ontario SMEs, prior to submitting the Full Application, the OCE BD MUST provide an endorsement of the application. Please allow at least one week prior to the submission deadline for the BD to review and endorse the application. Only after the BD endorsement will the SME be able to submit the application.

All applications MUST be received by OCE no later than the application deadline. Late and incomplete applications will not be accepted.

Intellectual Property (IP) arising from the project will be managed by the SMEs, as OCE and IIA do not claim or manage IP rights. Full Applications MUST be accompanied by a letter of intent (“LOI”) signed by all Ontario and Israeli SMEs and, if applicable, Ontario post-secondary institution, detailing IP rights and the commercialization strategy of the product or process. If the project is funded, this LOI will be incorporated into the Funding Agreement.A fully executed IP Sharing Agreement or Collaborative Research Agreement is required prior to project activation and fund release.Applicants are strongly advised to begin negotiation of the terms of the IP Sharing Agreement immediately after submission of an application to meet the Application deadline.

Funding Agreement

On approval of the Full Applications, collaborating SMEs will need to respectively execute funding agreements with their corresponding funding agency (OCE or IIA). Disbursement of OCE funds is conditional upon execution of an agreement between IIA and the Israeli applicant.

The Ontario SME must enter into an agreement with OCE within 30 days of receipt of the notification letter.

For reference, download a template of the full Funding Agreement. Please do not fill out this form; a copy of the agreement will be generated through OCE’s online application system and sent to you upon approval of your project​​

G. Project Reporting

Progress and Claims Reports detailing:

Achievement of milestones and deliverables as set out in the above project plan, and any deviations from the activities or budget specified in the application.

Actual project expenditures and partner contributions.

The Ontario SME must submit an interim Progress and Finance report every six months.

Funds will be reimbursed upon satisfactory review and approval of the report.

Israeli partner reporting and funds distribution will be in accordance with the IIA Funding agreement.

Note: Applicant MUST retain all proof of purchases, receipts, and other relevant documentation relating to eligible expenses. OCE reserves the right to audit claims submitted.

Final Report (required at the end of the project) detailing:

Achievement of milestones and deliverables as set out in the above project plan, and any deviations from the activities or budget specified in the application.

Significant accomplishments and performance measures of the project including innovation, economic, and commercialization metrics.

Actual project expenditures and partner contributions.

The Ontario Applicant will receive a notification to complete the final report and claims forty-five (45) days prior to the due date.

All required final reports by all applicants, and partners if applicable, must be submitted within 30 days of project completion for release of final reimbursement, and to maintain good financial standing with OCE.

Funds will be dispersed by direct deposit based on a reconciliation of expenditures versus budget estimates, following the completion and approval of the project report.

Release of OCE funding will also be contingent on IIA confirming successful progress of the Israel component of the project.

Project Metrics

If the project continues past a fiscal year end (March 31), the Ontario Applicant, and partner if applicable, will be required to complete an annual Metrics survey each April, for the part of the project that has been completed since the previous March 31.This annual report is mandatory for OCE to fulfill its contract with its funding ministries. Required metrics reports from all partners MUST be submitted to maintain good financial standing with OCE.

Retrospective Project Reports

Applicants will be required to complete a brief retrospective survey on project outcomes on an annual basis for three years from the end date of the project. The retrospective survey is mandatory for OCE for assessment of program impact and continuous improvement.

Reporting and funding release from IIA to the Israeli SME will follow IIA funding procedures.